Hyderabad-based online store for tech accessories, LatestOne.com, has received an additional funding of $3 Mn (INR 20 Cr) from its existing investor and parent company Palred Technologies Limited (PTL). This brings the total funding amount raised to $7.5 Mn (INR 50 Cr). The company plans to utilise the funds raised in ramping up operations, establish its third warehouse in Mumbai and expand revenue base.
Palem, Founder and Director of LatestOne.com said, “This additional funding of $3 Mn (INR 20 Cr) will add to existing cash to ramp up operations to 6,000 orders per day, establish its third warehouse in Mumbai and scale up the company’s annual net revenues to $15 Mn (INR100 Cr).”
Launched in June 2014 by Palem Srikanth Reddy, Latestone.com offers one-stop solution for tech accessories such as mobile covers, tablet accessories, cables, power banks, android TVs and CCTVs. It is the only public listed ecommerce platform in the country.
Currently, the company is receiving 4,000 orders per day. It claims to stock and sell over 10,000 SKU’s from Delhi and Hyderabad warehouses. Palem added, “Latestone has become the benchmark for technological, financial and operational efficiency for vertical focused, inventory based online retailers.The market size of tech & mobile accessories including cables, cases, chargers, power banks, headsets, speakers, smart watches etc. in India is about $ 3.8 Bn (INR 25,000 Cr). We also see that customers are increasingly purchasing these products online, creating a potential for them to grow into $75 Mn (INR 500 Cr) revenue company in the next three years.”
The company also announced that they have brought down the customer acquisition cost by 40% by introducing new technology through R&D. It claimed that the company is receiving 50% increase in the conversion rate of its visitors per day. Presently, the site receives over 1.2 lac visitors a day.
The company plans to cross the set revenue milestone of $1.5 Mn (INR 10 Cr) in this quarter, with losses reduced by 60% as compared to the previous quarter.
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